2024 (11) TMI 332 - HC - GST

Challenge to GST Notice on fish meal supply exemption - Circular No.80/54/2018-GST, dated 31.12.2018 - levy of tax on fish meal - HELD THAT - This Writ Petition is closed, directing the appellate authority, namely, the first respondent to keep the appeal in abeyance and await the outcome of the decision of the Supreme Court relating to classification of fish meal in PEARL CITY MARINE PRODUCTS PVT. LTD. VERSUS UNION OF INDIA ORS. 2024 (3) TMI 1368 - SC ORDER . Petition closed.

Summary

Issues:
Challenge to GST Notice on fish meal supply exemption, interpretation of circular on GST levy, validity of appellate orders, direction to file statutory appeal, pre-deposit of disputed tax, abeyance of appeal pending Supreme Court decision.

Analysis:
The Writ Petition challenges a GST Notice on the supply of fish meal, claiming exemption. The petitioner, engaged in fish meal manufacture and supply, relied on Circular No.80/54/2018-GST, stating fish meal attracts 5% GST. A previous judgment quashed the circular, finding fish meal exempt under Notification No.02/2017-C.T.(Rate). The Division Bench later set aside this judgment, leading to Supreme Court proceedings and a stay on recovery. The Court directed petitioners to file statutory appeals within 30 days, pending Supreme Court decision on the circular's validity.

Another taxable entity filed a similar petition, directed to file a statutory appeal within 30 days and pre-deposit 10% of disputed tax, excluding fish meal, awaiting Supreme Court's classification decision. The petitioner sought to keep the appeal in abeyance until the Supreme Court's decision. The Senior Standing Counsel had no objection. The Court closed the petition, directing the appellate authority to await the Supreme Court's decision on fish meal classification in the pending S.L.P., maintaining abeyance on the appeal and connected application.

In conclusion, the judgment addresses the challenge to a GST Notice on fish meal supply exemption, the interpretation of the circular on GST levy, the validity of appellate orders, directions for filing statutory appeals, the pre-deposit of disputed tax, and keeping the appeal in abeyance pending the Supreme Court's decision on fish meal classification. The Court's decision ensures alignment with the pending Supreme Court proceedings and maintains the status quo on the appeal until a final determination is made.